David: You know its a very sacred thing, the nest egg, and if you had understood the Nest Egg Principle, as we will now call it in the first of many lectures that you will get, because if we are ever to acquire another nest egg, we both have to understand what it means. The nest egg is a protector, like a god, and we sit under the nest egg and we are protected by it. Without it, no protection. Want me to go on? It pours rain. Hey! The rain hits the egg and pours off the side. Without the egg? Wet. Its over. But you didnt understand it and thats why were where we are.
Linda: I understood the nest egg
David:Please do me a favor. Dont use the word. You may not use that word. It is off-limits to you. Only those in this house that understand the nest egg may use it. And dont use any part of it either. Dont use nest. Dont use egg. Youre out in the forest, you can point - the bird lives in a round stick. And
you have things over easy with toast.
One of my all-time favorite movies.
I am 52. My wife and I are about to “Retire” in the sense that we will not be working for the universities any more but will be living off passive income from rental properties.
There is no magic trick to this just some obvious things that everyone can do
1. Stay out of debt. The only possible exception is a mortgage but even then do not max out the finance. Credit cards are good but pay the bill in full every month
2. Never buy a new car unless you plan to drive it for 30 years
3.Give at least 10% of your income to charity it keeps you humble
4. Save or invest at least 20% of your income
The trick is to do the last 2 items when you make $1000 a month otherwise you won’t do it when you make $10000 a month